Fire insurance is a type of property insurance that covers damage to property as a result of fire.

All lenders will require proof of this coverage as a condition of obtaining a mortgage on a property. Fire insurance protects the lender's investment in the property by covering the cost of repairing or rebuilding the property in the event of a fire. It also of course provides financial protection for the homeowner in the event of a fire.

Fire insurance policies typically cover damage caused by fire, lightning, and explosions, as well as smoke damage. Some policies may also cover additional perils, such as vandalism or theft. It is important for homeowners to have an adequate amount of insurance coverage to protect their home and belongings.